Swot analysis Essay

This essay has a total of 2875 words and 10 pages.

swot analysis




McDonald’s vs. Burger King Organizational Diagnosis by Fastalk Consultants In diagnosing
the McDonald's organization, the first issue we will examine is their company goals.
McDonald's has a goal of one hundred percent total customer satisfaction. However, they do
realize that this goal is not always attainable. Therefore, if for any reason they do not
meet that goal, they will do whatever it takes to correct their mistake. McDonald's has a
second company goal that sets them apart from most of their competitors. McDonald's was
founded on the principle of giving back to the community, and that remains one of their
primary goals today. Through their charities, Ronald McDonald’s House and Ronald
McDonald’s Children's Charities, McDonald's has pumped millions of dollars back into the
community over the years. McDonald's customer service policy is laid out in the McDonald's
Guarantee. The McDonald's Guarantee states, "Your food will be hot. Your service will be
fast and friendly. And your drive-thru orders will be double-checked right. If you're not
satisfied, we'll make it right. Or your next meal is on us. Guaranteed." The customer
service procedures of McDonald's are centered on focusing on one customer at a time. They
are more concerned with the quality of the service than the speed of the service.
Employees usually take only one order at a time. They then prepare that order while the
customers wait. After the present customer is satisfied, they move on to the next
customer. This procedure allows great accuracy and quality, but lacks speed. McDonald's
climate was not very appealing. Everything appeared to be focused around the business
instead of the customers. Employees were working at a rapid pace, but it seemed like they
had no time for customers. They acted as if it was a burden for them to stop and answer a
simple question or refill a drink. The atmosphere was also very noisy. There was constant
beeping, banging, and yelling coming from the service area. They did not provide a
pleasant ambiance for customers to dine in. McDonald's communication and leadership were
also lacking. The only communication between employees and customers was the placement of
orders. The employees provided no feedback in terms of double-checking orders or
communicating any delays that might occur. Communication between employees consisted of
loud yelling throughout the kitchen. In terms of leadership, we did not see a manager
present during our entire visit. Diagnosing Burger King was a little more difficult
because they do not provide customers with literature (pamphlets) communicating goals and
policies, as McDonald's does. However, Burger King's goals seemed quite clear. They want
to individualize each customer's order and provide the fastest service possible. Burger
King's policy is to give the customer many choices and to accurately and quickly provide
whatever the customer chooses. This policy is reflected in their slogan, "Your way, right
away." Operating under this policy makes it very easy to achieve their goals. Through the
many choices they provide it is easy to customize each order. Burger King's procedures are
also consistent with their goals. In order to individualize each order they provide
customers with many options when ordering. Some options include fries or onion rings,
cheese, bacon, mustard, ketchup, mayonnaise, lettuce, tomato, pickles, and onion. The
customer can pick any combination of these options that they desire. To facilitate fast
service Burger King takes customer orders on a continual basis. One employee takes the
customer's order, the customer then moves down the line where another employee is
preparing the order. Meanwhile, the original employee is taking another customer's order.
Customers also get their own drinks while they are waiting for their meal. This makes
service much faster in that employees do not have to prepare drinks or provide refills.
The climate at Burger King was very pleasant. The employees conveyed the attitude that
they were there to assist the customers in any way possible. The restaurant was very clean
and there were no loud noises from the service area. They also provided relaxing music for
customers to listen to while dining. Burger King possessed more than adequate
communication and leadership. Employees gave the customers feedback on their orders. Each
customer received a receipt, which enabled them to double-check their order. The employees
also read the order back to the customer before handing them the order. In terms of
leadership, there was a manager in plain sight throughout our visit. The manager showed
involvement by taking orders and coaching employees. Our group compared and contrasted
McDonald’s and Burger King as follows: Comparison between McDonald's and Burger King
Analysis: I. Organizational Goals Both McDonald's and Burger King share the same basic
organizational goals of profitability, sales volume, fast and courteous service, and
cleanliness. There are minor variations to these goals by both companies. II.
Organizational Structure When observing McDonald's and Burger king, the organizational
structures of the two restaurants were very similar. There appeared to be a crew leader
who was a non-managerial employee and, there was a manager who was present behind the
counter. The managers of the restaurants seemed to be in control of every aspect of the
entire food service process. He had keys to the store, and registers, and also was the
only one to take phone calls. One might assume that because both restaurants are chains,
there is a hierarchy of command. There is perhaps a regional manager, then a district
manager, all the way up to a CEO of McDonald's and Burger King. The distinction between
the management and the staff was very clear and apparent by looking at their uniforms.
III. Technology Both McDonald's and Burger King are on the cutting edge of technology.
They both employ state of the art cash registers and both have electric timers built into
their cooking machines. Although the cooking styles vary between Burger King and
McDonald's, the method of production is the same. Large batches of food are cooked at once
then placed under heat lamps or put in the microwave when an order is placed. Both stores
have the same drive through technology with a speaker and a well-lit menu to relay the
message to the cooks. Usually whoever takes the order is also the same person to collect
the money; however, a different person usually puts the order together for the customer.
IV. Employee Motivation The motivation of both stores for employees to perform well is
hard to ascertain from just observing, but it appears somewhat obvious. The people working
in these establishments appear to have a lower social economic status, and the fact that a
paycheck is coming at the end of the week may be the only motivation they have. The stores
do have an "employee of the month" plaque on the wall, but it is doubtful that this is
motivation to strive day in and day out for. There is also the fear of potentially losing
their jobs if they perform sub standard. V. Communication Both stores employed a very open
communication policy. Employees were talking, sometimes shouting at one another to be
heard. The management was openly involved in the employees routines and the employees felt
no barriers to prevent their communication with the manager. Sometimes in both stores,
there would be a break down in communication somewhere along the line and that would
result in extended waiting times for customers and sometimes, screwed up orders. VI.
Environment The environment at McDonald's and Burger King seems to be a simple, yet
unstable one. It is apparent that the majority of people who work there, are not choosing
their employment as a career option. Therefore, the workforce is constantly changing and
adapting to new employees and new situations. VII. Job Design The design of the job in
both McDonald's and Burger King ran smoothly at times. There was autonomy between the
different positions. For example, the fry person would just make fries. If he ran into a
problem, he could use his knowledge of the fry machine to fix the problem without having
to go to management. There was a visual barrier between the different positions, however
no position seemed more glorified than another one. VIII. Leadership Style There was
similar leadership style employed by the management at both stores. Task orientation was
essential to meeting the goal of fast food. Each person had to be focused on the task at
hand, because during certain hours of the day, both stores were very busy. There seemed to
be little flexibility from management if it meant compromising their goals. IX.
Policies/Procedures/Rules/Standards Standardization seemed to be the key at both stores.
One can walk into any McDonald's in the country and find that a "Big Mac" is the same
everywhere. Similarly, a "Whopper" will taste the same at every location. Therefore, the
ingredients, and cooking methods must remain constant throughout. There can be no
variation. Rules and procedures were posted on clear signs and made directly available to
the employee. X. Organization Climate There seemed to be individual autonomy for the most
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